Congress Investigates Impact of 23andMe Bankruptcy

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Leaders from the House Committee on Energy and Commerce are raising concerns about how the bankruptcy of 23andMe could impact customers’ data.

Representatives Brett Guthrie, Gus Bilirakis, and Gary Palmer have sent a letter to 23andMe’s interim CEO, Joe Selsavage, inquiring about the handling of customer data in the event of a sale. They also mentioned issues reported by some customers regarding difficulties in deleting their data from the company’s website.

Privacy Concerns

The letter highlighted the lack of HIPAA protections for direct-to-consumer genetic testing companies like 23andMe and the potential risks to sensitive customer information in case of a sale or transfer of data.

Previous Legal Troubles

Last year, 23andMe settled a data breach lawsuit for $30 million. The company filed for chapter 11 bankruptcy in March, with co-founder and CEO Anne Wojcicki stepping down to pursue a bid for the company.

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The uncertainty surrounding the fate of customer data has prompted Congress to investigate the implications of 23andMe’s bankruptcy on data privacy and protection.

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